KPIs for Marketing
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KPIs for Marketing Marketing campaign Stt English VietNamese 1 Sales lead value ratio Number of sales leads (per medium) that are considered “good” divided by total leads. Unit type: Percentage Direction: Maximize 2 Response Rate Number of contacts how responded affirmatively/ Number of contacts effectively contacted Unit type: Percentage Direction: Maximize 3 Contact Rate Number of contacts effectively contacted / Number of contacts in the target list. Unit type: Percentage Direction: Maximize 4 Average response rates of campaigns What percentage of the total campaign population responded to the campaign. Unit type: Percentage Direction: Maximize Marketing communications Stt English VietNamese 1 Number of article placements in trade magazines Number of article placements in trade magazines. Direction: Maximize Stt English VietNamese 1 Return on Marketing Investment (ROMI) Return on Marketing Investment (ROMI) and Marketing ROI are defined as the optimization of marketing spend for the short and long term in support of the brand strategy by building a market model using valid, objective marketing metrics. Improving ROMI leads to improved marketing effectiveness, increased revenue, profit and market share for the same amount of marketing spend. Unit type: Percentage Direction: Maximize 2 Net Promoter Score (tm) To calculate your company’s Net Promoter Score (NPS), take the percentage of customers who are promoters (those who are highly likely to recommend your company or products), and subtract the percentage who are detractors (those who are less likely to recommend your company or products). The equation below is how to calculate a company’s NPS. % of Promoters – % of Detractors = Net Promoter Score (NPS) Formula: [% of Promoters] minus [% of Detractors] Unit type: Score Direction: Maximize Please note that the Net Promoter Score has its detractors. Also, the following is a link to an award winning research paper testing the Net Promoter Score titled A Longitudinal Examination of Net Promoter and Firm Revenue Growth. Here is the executive summary as copied from the study: Managers have widely embraced and adopted the Net Promoter metric, which noted loyalty consultant Frederick Reichheld advocates as the single most reliable indicator of firm growth compared with other loyalty metrics, such as customer satisfaction and retention. Recently, however, there has been considerable debate about whether this metric is truly superior. This article (1) employs longitudinal data from 21 firms and 15,500-plus interviews from the Norwegian Customer Satisfaction Barometer to replicate the analyses used in Net Promoter research and (2) compares Reichheld and colleagues’ findings with the American Customer Satisfaction Index. Using industries Reichheld cites as exemplars of Net Promoter, the research fails to replicate his assertions regarding the “clear superiority” of Net Promoter compared with other measures in those industries. Here is the link to the research: 3 Marketing budget awareness-demand ratio Percentage of the marketing budget spent on creating customer awareness instead of generating customer demand. Unit type: Percentage 4 Marketing budget ratio (MBR) Defined as marketing investment as a percentage of total revenue. Unit type: Percentage 5 Marketing expenses Marketing expenses (costs) within measurement period Unit type: Money
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